Both platforms allow for the development of custom applications using smart contracts and facilitate fast cross-border transactions. So why is Ethereum losing ground to XRP Ledger, and can XRP outperform ETH by 2025?

Meanwhile, Layer-2 solution PlutoChain (PLUTO) could tap into the nascent Bitcoin dApp market. This technology could drive the adoption of BTC beyond a mere store of value and rival the likes of XRP with its scalability.

XRP vs ETH: Which Has Greater Potential?

Ethereum has the largest dApp ecosystem of all Layer-1 networks. However, frequent network congestions that lead to high fees and slow transactions make users turn to alternative solutions.

Among such alternatives is Ripple, which recently rolled out native smart contracts on XRP Ledger and the XRPL EVM sidechain, compatible with Ethereum. Ripple’s latest update also introduces Multi-Purpose Tokens (MPTs), Credentials, and enhanced support for NFTs and AMM.

Last but not least, Ripple is exploring partnerships with other prominent projects, including the Layer-1 blockchain network Cardano.

These updates make XRP Ledger more appealing to developers and expand its applications beyond cross-border remittances.

Currently, ETH trades at $3,534, 27% below its ATH of $4,891.70 recorded in 2021. XRP consolidated around $1.45 after failing to break the $1.61 resistance zone last week.

Technical indicators suggest ETH may see more upside in the short term and hit $4,215 by the end of the year. XRP, too, is on a strong bullish trend and may reach $3 in the foreseeable future.

The question is – which platform will attract more community interest in the long run? Ethereum does face its fair share of challenges, but the benefits of its highly decentralized nature and flexible development tools are undeniable. Ultimately, both projects are worth watching in 2025.

PlutoChain Expands Bitcoin’s Applications

As Ethereum and XRP compete for dominance in the dApp sector, Bitcoin’s function is confined to a store of value. PlutoChain could change this through smart contracts and EVM compatibility.

The BTCFi ecosystem has a total value locked (TVL) of just 0.13% of BTC’s total market capitalization. In contrast, Ethereum DeFi apps TVL account for 10% of ETH’s market cap, which shows the immense growth opportunities for new BTCFi projects.

With PlutoChain’s Layer-2 solution, developers could build native applications on Bitcoin and port existing apps from Ethereum, including DeFi protocols, NFT marketplaces, and P2E games. This may unlock the full potential of Bitcoin’s $1.9 trillion economy.

On the base level, PlutoChain could make Bitcoin transactions faster and cheaper. In essence, The project may act as a secondary layer that handles a large portion of the transactions, allowing the main Bitcoin mainnet to focus on its core functions.

To ensure the security of user funds and personal data, PlutoChain underwent a rigorous security audit conducted by SolidProof. The audit confirmed the absence of significant vulnerabilities or bugs in the code.

Besides, PlutoChain’s community-centric governance model grants its holders the power to influence the project’s trajectory. This ensures that the project’s development aligns with the vision of its users.

Final Words

Ethereum and Solana dominate the dApp sector, but the blockchain industry never stops evolving. Currently, XRP offers a solid alternative due to its fast, low-cost cross-border payments and native smart contracts.

However, in the future, we may see a rise in Bitcoin dApp development thanks to Layer-2 solutions like PlutoChain.

Visit the links below to learn more about PlutoChain and its unique features:

Official Website: https://plutochain.io X/Twitter Page: https://x.com/plutochain/  Telegram Channel: https://t.me/PlutoChainAnnouncements/ 

This article is not financial advice. Past results are not indicative of future returns, and the crypto market is inherently unpredictable. Readers must conduct their own thorough research before purchasing any crypto coin or token. These forward-looking statements are subject to risks and may remain unchanged.

This is a sponsored article. Opinions expressed are solely those of the sponsor and readers should conduct their own due diligence before taking any action based on information presented in this article.